Leadership can be defined as influencing others to achieve goals. Effective leadership depends on both traits of the leader and contingencies of the situation. Trait theories study what makes an effective leader, focusing on qualities like intelligence and self-confidence. Contingency theories emphasize that leadership style should match aspects of the situation like task structure and follower readiness. Contemporary views include transactional leadership which guides followers via rewards and punishments, and transformational leadership which inspires followers to transcend self-interest. Developing trust and empowering employees are also important issues for modern leaders.

1. Who Are Leaders and What Is
Leadership
• Leader – Someone who can influence others and who has
managerial authority
• Leadership – What leaders do; the process of influencing a
group to achieve goals
• Ideally, all managers should be leaders
• Although groups may have informal leaders who emerge,
those are not the leaders we’re studying
Leadership research has tried to answer: What is an effective
leader?

2. Exhibit 17–1 Seven Traits Associated with Leadership
Source: S. A. Kirkpatrick and E. A. Locke, “Leadership: Do Traits Really Matter?” Academy of Management
Executive, May 1991, pp. 48–60; T. A. Judge, J. E. Bono, R. llies, and M. W. Gerhardt, “Personality and
Leadership: A Qualitative and Quantitative Review,” Journal of Applied Psychology, August 2002, pp. 765–780.

3. Contingency Theories of Leadership
• The Fiedler Model
 Proposes that effective group performance depends upon the
proper match between the leader’s style of interacting with
followers and the degree to which the situation allows the leader
to control and influence.
 Leader-member relationship
 Task structure
 Position power
Assumptions:
 A certain leadership style should be most effective in different
types of situations.
 Leaders do not readily change leadership styles.
– Matching the leader to the situation or changing the
situation to make it favorable to the leader is required.

4. Contingency Theories of Leadership
• Hersey and Blanchard’s Situational
Leadership
Leadership depends on followers’ readiness
Leadership Style
– Telling (high task–low relationship): The leader defines
roles and tells people what, how, when, and where to do
various tasks.
– Selling (high task–high relationship): The leader provides
both directive and supportive behavior.
– Participating (low task–high relationship): The leader and
followers share in decision making; the main role of the
leader is facilitating and communicating
– Delegating (low task–low relationship): The leader
provides little direction or support.

5. Contingency Theories of Leadership
Follower Readiness
 R1: People are both unable and unwilling to take
responsibility for doing something. Followers aren’t
competent or confident
 R2: People are unable but willing to do the necessary job
tasks. Followers are motivated but lack the appropriate skills.
 R3: People are able but unwilling to do what the leader
wants. Followers are competent, but don’t want to do
something.
 R4: People are both able and willing to do what is asked of
them.

6. Contingency Theories of
Leadership
• Path-Goal Model
States that the leader’s job is to assist his or her
followers in attaining their goals and to provide
direction or support to ensure their goals are
compatible with organizational goals.
Leaders assume different leadership styles at
different times depending on the situation:
 Directive leader
 Supportive leader
 Participative leader
 Achievement oriented leader

7. Exhibit 17–5 Path-Goal Theory

8. Contemporary Views of
Leadership
• Transactional Leadership
Leaders who guide or motivate their followers in the
direction of established goals by clarifying role and
task requirements.
• Transformational Leadership
Leaders who inspire followers to transcend their own
self-interests for the good of the organization by
clarifying role and task requirements.

9. Contemporary Views of
Leadership
• Charismatic Leadership
An enthusiastic, self-confident leader whose
personality and actions influence people to behave in
certain ways.
Characteristics of charismatic leaders:
 Have a vision.
 Are able to articulate the vision.
 Are willing to take risks to achieve the vision.
 Are sensitive to the environment and follower needs.
 Exhibit behaviors that are out of the ordinary.

10. Contemporary Views of
Leadership
• Visionary Leadership
A leader who creates and articulates a realistic,
credible, and attractive vision of the future that
improves upon the present situation.
• Visionary leaders have the ability to:
Explain the vision to others.
Express the vision not just verbally but through
behavior.
Extend or apply the vision to different leadership
contexts.

11. Contemporary Views of
Leadership
• Team Leadership Characteristics
Having patience to share information
Being able to trust others and to give up authority
Understanding when to intervene
• Team Leader’s Job
Managing the team’s external boundary
Facilitating the team process
 Coaching, facilitating, handling disciplinary problems,
reviewing team and individual performance, training, and
communication

12. Exhibit 17–5 Team Leadership Roles

13. Leadership Issues in the 21st
Century
• Managing Power
 Legitimate power
 The power a leader has
as a result of his or her
position.
 Coercive power
 The power a leader has to
punish or control.
 Reward power
 The power to give
positive benefits or
rewards.
 Expert power
 The influence a leader
can exert as a result of
his or her expertise, skills,
or knowledge.
 Referent power
 The power of a leader
that arise because of a
person’s desirable
resources or admired
personal traits.

14. Developing Trust
• Credibility (of a Leader)
The assessment of a leader’s honesty, competence,
and ability to inspire by his or her followers
• Trust
Is the belief of followers and others in the integrity,
character, and ability of a leader
 Dimensions of trust: integrity, competence, consistency,
loyalty, and openness
Is related to increases in job performance,
organizational citizenship behaviors, job satisfaction,
and organization commitment

15. Exhibit 17–6 Building Trust
Practice openness.
Be fair.
Speak your feelings.
Tell the truth.
Show consistency.
Fulfill your promises.
Maintain confidences.
Demonstrate competence.

16. Empowering Employees
• Empowerment
Involves increasing the decision-making discretion of
workers such that teams can make key operating
decisions in develop budgets, scheduling workloads,
controlling inventories, and solving quality problems
Why empower employees?
 Quicker responses problems and faster decisions
 Addresses the problem of increased spans of control in
relieving managers to work on other problems

17. Cross-Cultural Leadership
• Universal Elements of
Effective Leadership
Vision
Foresight
Providing encouragement
Trustworthiness
Dynamism
Positiveness
Proactiveness